The Evolution of the Kaia Ecosystem: An On-Chain Growth Model Centered on Mini Dapp

1. Overview of the Kaia Blockchain Ecosystem

1.1 Origin and Team Background

Kaia is the new ecosystem formed by the merger of the two blockchain projects Klaytn, led by Kakao, and Finschia, led by LINE. Klaytn was launched in June 2019 by Ground X, a subsidiary of the Kakao group, with early alliance members including well-known South Korean companies such as LG Electronics, Celltrion, and Netmarble. Finschia originated from the LINK chain launched by LINE in August 2018 and was renamed in 2022. In August 2024, the two chains officially merged into the Kaia mainnet, which is managed by the newly established Kaia DLT Foundation.

Kaia is committed to becoming an L1 public chain focused on large-scale applications, featuring high TPS and developer-friendly characteristics. Its core advantages lie in a mature SDK system and deep integration with KakaoTalk and LINE platforms, supporting decentralized applications to run directly on these mainstream social platforms. As a public chain based on the BFT consensus mechanism, Kaia has been highly optimized, aiming to achieve enterprise-level reliability and performance.

1.2 Important Milestone

• June 2019: Klaytn mainnet launched
• December 2022: Finschia mainnet launch
• April 2023: LINE established the Finschia Foundation in Abu Dhabi
• August 2024: Klaytn and Finschia merge into the Kaia mainnet
• April 2025: The Kaia Foundation announced that it received investments from institutions such as 1kx.
• May 2025: Tether issues USDT on the Kaia chain.

1.3 Main Features

Kaia adopts a layered node architecture, including core units, consensus nodes, proxy nodes, and endpoint nodes. The network uses an improved Byzantine Fault Tolerance consensus algorithm to achieve 1-second block generation and instant finality, with a theoretical peak throughput of up to 4000 TPS.

Kaia is EVM compatible and supports smart contracts in the Ethereum ecosystem. The platform is integrated with multiple cross-chain bridges to enable asset interoperability with chains like Ethereum. Kaia also closely integrates with the LINE ecosystem, allowing developers to directly deploy native Dapps within the chat application.

In terms of the token economic model, Kaia adopts a sustainable mechanism: new KAIA is allocated to block proposers, stakers, the ecological fund, and the infrastructure fund at a fixed ratio. The system supports on-chain governance, allowing the inflation rate and fee structure to be adjusted based on community resolutions.

Compared to other public chains, Kaia focuses on the Asian market, bringing Kakao and LINE users into the Web3 ecosystem; technologically, it adopts second-level finality consensus; ecologically, it quickly integrates key assets such as stablecoins. These features give Kaia a unique advantage in promoting the large-scale application of blockchain.

2. Progress of Ecological Construction

2.1 Kaia Wave plan and Mini Dapp ecosystem

In August 2024, the Kaia mainnet will go live and launch the Kaia Wave program, enabling developers to build Mini Dapps for LINE users through LINE NEXT's NEXT WEB SDK. The first batch of Mini Dapp projects will be launched in the first quarter of 2025, covering multiple tracks.

Kaia has also launched the Mini Dapp growth competition in collaboration with LINE Dapp Portal, focusing on project MAU and token holder growth. The Dapp Portal launched simultaneously serves as a one-stop entry for Mini Dapps, allowing users to directly access various Dapps within the LINE environment.

2.2 Kaia Stablecoin Plan

In May 2025, Kaia collaborated with Tether to issue USDT natively on-chain, integrating it into the Mini Dapp ecosystem within LINE. Users can complete payments, transfers, and DeFi activities in the LINE environment. Multiple exchanges have supported the USDT-KAIA network.

The Kaia team is promoting the issuance plan of the Korean won stablecoin and plans to launch more on-chain financial products and services.

2.3 ecological investment progress

In April 2025, the Kaia Foundation received funding led by 1kx and Blockchain Capital, with participation from institutions including Galaxy Digital. This collaboration will help Kaia gain support in expanding into global markets and building a compliance framework.

2.4 ecological strategic cooperation

Kaia continues to expand its collaborations in data visualization, secure custody, and asset circulation.

• Integrated with Dune for on-chain data visualization
• Collaborate with Fireblocks to provide secure asset custody
• Establish strategic cooperation with KuCoin to support the listing of Mini Dapp
• Collaborate with Republic to provide advisory support for developers
• Launched KAIA trading pair and perpetual contracts in collaboration with MEXC
• Integrate KAIA payment in collaboration with Travala
• Collaborate with Team Finance to provide features such as token locking.

2.5 Developer Support and Community Building

Kaia supports developers and community building in various ways:

• Promoting blockchain education in Singapore
• Launching Yapper Leaderboard content incentive program
• Release DEX Scanner feature
• Open Kaia Developer Bootcamp
• Launch Kaia Agent Kit development suite

3. Excellent Project Cases in the Kaia Ecosystem

3.1 Excellent projects that have completed TGE

1. Elderglade: Web3 gaming ecosystem, with over 11 million users globally.
2. Bombie: A zombie shooting game based on LINE, with nearly 70,000 daily active users.
3. Frog Defense: Bringing TikTok IP into the Web3 Gaming Space
4. Lair: Liquidity staking product based on KIP-163

3.2 Other promising leading projects

1. SavannaSurvival: A game that combines auto-battle, educational entertainment, and management simulation.
2. Boxing Star X: Web3 Boxing Game
3. DarkStar: Cross-platform Space Game
4. Captain Tsubasa: A football game based on the classic manga.
5. Slime Miner: Web3 Idle RPG Game
6. Fate War: The first "play-to-earn" RPG game
7. Kyuzo's Friends: A Social Game Based on DNAxCAT IP

These projects demonstrate the competitiveness of the Kaia ecosystem in core sectors such as gaming, laying the groundwork for the development of Web3 applications in more areas. As the ecosystem continues to improve, Kaia is expected to further consolidate its position in the Web3 field, promoting the transition of applications from "early adopters" to "mainstream users."